Sigma Lithium (NASDAQ:SGML) Trading Up 5.4% - Here's Why

Key Points

• Sigma Lithium's stock price increased by 5.4% to $6.26, despite a significant drop in trading volume, showing market activity upward trend.
• Recent analyst coverage includes a "buy" rating from Bank of America with a price target of $12.00, while Wall Street Zen downgraded the stock to "sell."
• Sigma Lithium reported a loss of $0.17 per share in its latest earnings, significantly below the consensus estimate of a loss of $0.03, highlighting ongoing financial challenges.

Sigma Lithium Corporation (NASDAQ:SGML - Get Free Report)'s share price shot up 5.4% during trading on Friday . The stock traded as high as $6.50 and last traded at $6.26. 712,795 shares changed hands during mid-day trading, a decline of 54% from the average session volume of 1,546,206 shares. The stock had previously closed at $5.94.

Analyst Ratings Changes

A number of equities research analysts recently commented on the company. Bank of America started coverage on Sigma Lithium in a research report on Tuesday, August 26th. They set a "buy" rating and a $12.00 price target on the stock. Cormark raised Sigma Lithium to a "moderate buy" rating in a research note on Thursday, August 21st. Finally, Wall Street Zen downgraded Sigma Lithium from a "hold" rating to a "sell" rating in a research note on Saturday, August 16th. One research analyst has rated the stock with a Buy rating, According to data from MarketBeat.com, the company currently has an average rating of "Buy" and an average target price of $12.00.

Sigma Lithium Stock Up 4.1%

The company has a debt-to-equity ratio of 1.26, a current ratio of 0.60 and a quick ratio of 0.39. The stock has a fifty day moving average of $6.06 and a two-hundred day moving average of $7.02. The firm has a market capitalization of $688.45 million, a price-to-earnings ratio of -14.06 and a beta of 0.09.

Sigma Lithium (NASDAQ:SGML - Get Free Report) last announced its quarterly earnings results on Thursday, August 14th. The company reported ($0.17) earnings per share for the quarter, missing the consensus estimate of ($0.03) by ($0.14). The business had revenue of $16.89 million during the quarter, compared to the consensus estimate of $50.44 million. Sigma Lithium had a negative net margin of 35.69% and a negative return on equity of 47.19%. Sell-side analysts anticipate that Sigma Lithium Corporation will post -0.12 earnings per share for the current year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Norges Bank purchased a new stake in shares of Sigma Lithium in the second quarter worth $11,250,000. Woodline Partners LP lifted its holdings in Sigma Lithium by 65.6% during the 1st quarter. Woodline Partners LP now owns 2,678,444 shares of the company's stock valued at $27,856,000 after buying an additional 1,060,771 shares in the last quarter. CenterBook Partners LP lifted its holdings in Sigma Lithium by 416.8% during the 2nd quarter. CenterBook Partners LP now owns 816,515 shares of the company's stock valued at $3,674,000 after buying an additional 658,533 shares in the last quarter. Adage Capital Partners GP L.L.C. increased its position in Sigma Lithium by 104.5% during the 2nd quarter. Adage Capital Partners GP L.L.C. now owns 900,000 shares of the company's stock valued at $4,050,000 after purchasing an additional 460,000 shares during the period. Finally, Caption Management LLC increased its position in Sigma Lithium by 116.0% during the 1st quarter. Caption Management LLC now owns 58,104 shares of the company's stock valued at $604,000 after purchasing an additional 422,100 shares during the period. Institutional investors own 64.86% of the company's stock.

Sigma Lithium Company Profile

Sigma Lithium Corporation engages in the exploration and development of lithium deposits in Brazil. It holds a 100% interest in the Grota do Cirilo, Genipapo, Santa Clara, and São José properties comprising 29 mineral rights covering an area of approximately 185 square kilometers located in the Araçuaí and Itinga regions of the state of Minas Gerais, Brazil.

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